USDCHF Analysis – December 26, 2009

USDCHF remains in uptrend from 0.9917 and the pullback from 1.0507 is treated as minor consolidation of uptrend. As long as 1.0300 support holds, we’d expect uptrend to resume and another rally towards 1.0600 is still possible. However, below 1.0300 could indicate lengthier consolidation of uptrend is underway, and deeper decline could be seen to 1.0250 area.

For long term analysis, USDCHF has formed a cycle bottom at 0.9917 level on weekly chart. Bounce towards 1.0700 to reach next cycle top is expected.

usdchf daily chart